BY
Jennifer Morris

Updated: 'Business as usual' at Riviera Travel as it goes up for sale

Riviera Travel is reportedly being put up for sale for £250 million.

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The auction comes less than three years after founder Michael Wright, 61, sold a majority stake to Phoenix

Riviera Travel, founded in 1984, is set to go up for sale after its majority owner, Phoenix Equity Partners, hired the professional services firm PwC to find new investors, the company has confirmed to TTG.

The auction comes less than three years after founder Michael Wright, 61, sold a majority stake to Phoenix, valuing the operator at £120 million.

Private equity sources said a sale would value Riviera at about £250 million, the Times reports.

Riviera made a £9.2 million profit in 2015 on turnover of £126 million, according to its most recent set of available accounts.

In a statement sent to TTG this morning, Riviera Travel said that with the introduction of a new collection of tours for solo travellers launched last year, an enhanced land tour portfolio with 13 new destinations this year as well as the launch of brand new all suite 5-star river cruise ships, "the business continues to grow".

Riviera said it was following strong expressions of interest from potential buyers, that Phoenix had decided to appoint PwC "to assess strategic options for the business".

Ben Hitchcock, sales and marketing director, added: "It’s normal for private equity investors to seek to realise their investment within a three to five-year period and so it’s business as usual for everyone here at Riviera Travel, we just see this as another stepping stone as we continue to focus on our customers and grow the business."